The Critical Role of REALTORS® in the Real
Estate Transaction

Surveys show that many homeowners and homebuyers are not
aware of the true value a REALTOR® provides during the course of a real
estate transaction. At the same time, regrettably, REALTORS® have
generally assumed that the expertise, professional knowledge and just
plain hard work that go into bringing about a successful transaction
were understood and appreciated.

Many of the most important services and steps are
performed behind the scenes by either the REALTOR® or the brokerage
staff and traditionally have been viewed simply as part of their
professional responsibilities to the client. But, without them, the
transaction could be placed in jeopardy. This publication seeks to
close that gap.

Listed on the following pages are nearly 200 typical
actions, research steps, processes and review stages necessary for a
successful residential real estate transaction and normally provided by
a full service real estate brokerage and for which they are
entitled to fair compensation.

ComprehensivenessThe list is by no means an attempt to set forth a complete
list of services as these may vary within each brokerage and each
market. Many REALTORS® routinely provide a wide variety of additional
services that are as varied as the nature of each transaction. By
the same token, some transactions may not require some of these steps to
be equally successful.

However, most would agree that given the unexpected
complications that can arise, it’s far better to know about a step and
make an intelligent, informed decision to skip it, than to not know the
possibility even existed.

The REALTOR® Commitment
Through it all, the personal and professional commitment of the
REALTOR® is to ensure that a seller and buyer are brought together in an
agreement that provides each with a “win” that is fair and equitable.
The motivation is easy to understand. For most full-service brokerages,
they receive no compensation unless and until the sale closes.

By contrast, there are firms that offer “limited
services” in exchange for an up-front flat fee, or perhaps offer a menu
of pay-as-you-go or “a la’ carte” options. Some even offer a sliding
scale ranging from limited to full service. In these cases, the
compensation of the REALTOR® is based on these reduced service levels
with the seller bearing full responsibility for all the other steps and
procedures in the selling process. In short, the marketplace truism is
that “you get what you pay for”

A Variety of ChoicesThe variety of brokerage business models in today’s real
estate industry affords the homeowner a greater range of options than
ever before. But no matter which option is chosen, before signing
a Listing Agreement or otherwise engaging the services of a REALTOR® and
agreeing to compensate them, homeowners should understand exactly what
services will, or will not, be provided.

Why Use A REALTOR®?Not every real estate agent or broker is a REALTOR®. That
term and the familiar Block “R” logo are trademarked by the National
Association of REALTORS® and can only be used by those are REALTOR®
members through their local association of REALTORS®. While all
REALTORS® are state-issued licensees as agents or brokers, the major
difference between a “real estate licensee” and a REALTOR® is that
REALTORS® have taken an oath to subscribe to a stringent, enforceable
Code of Ethics with Standards of Practice that promote the fair, ethical
and honest treatment of all parties in a transaction. Non-member
licensees have taken no such oath and are not morally bound to the
ethical practices and principles set for in the REALTOR® Code.

For that extra measure of peace of mind, ensure the individual
seeking to represent you is both a real estate licensee and a REALTOR®.
Visit the Colorado Association of REALTORS® Association’s website,
http://www.coloradorealtors.com/gettheanswers/ for a
searchable list of our REALTOR® members.

The Critical Role of the REALTOR®Listed here are nearly 200 typical actions, research steps,
procedures, processes and review stages in a successful residential real
estate transaction that are normally provided by full-service
real estate brokerages in return for their sales commission. Depending
on the transaction, some may take minutes, hours, or even days to
complete, while some may not be needed.

More importantly, they reflect the level of skill,
knowledge and attention to detail required in today’s real estate
transaction, underscoring the importance of having help and guidance
from someone who fully understands the process – a REALTOR®. And
never forget that REALTORS® are pledged to uphold the stringent,
enforceable tenets of the REALTOR® Code of Ethics in their professional
dealings with the public. Not every real estate licensee holds REALTOR®
membership. Make sure yours does!

Pre-Listing Activities1 Make appointment with seller for listing presentation

2 Send seller a written or e-mail confirmation of
listing appointment and call to confirm

3 Review pre-appointment questions

4 Research all comparable currently listed properties

5 Research sales activity for past 18 months from MLS
and public records databases

6 Research "Average Days on Market" for this property of
this type, price range and location